Financial Times profits defy advertising crunch

Financial Times owner Pearson has attributed the FT group’s 13% rise to £195m in profits in 2008 to growth in its digital, subscriptions and ‘strong demand for premium content’.

It reported in its preliminary results for 2008 this morning (March 2) the growth “exceeded a decline in advertising revenues.”

Pearson says it expects the FT Group to experience a “tough year for advertising” but it would benefit from “strong demand for high-quality analysis of global business, finance, politics and economics, strong renewal rates in our subscription businesses; and continued growth at Interactive Data.”

The group also announced its Penguin book brand increased profits by 4% to £93m.

Marjorie Scardino, chief executive, says: ” We are particularly pleased to have continued [growth] in 2008 in the face of a sharp economic downturn. We don’t expect economic conditions to improve any time soon, but we do expect our company to remain hardy and aggressive.

We’ll continue to press our advantage in technology, services and international reach because our competitive positions are strong and we see many opportunities to build our business and gain share in these turbulent times,” she added.